According to a recent article from Cointelegraph, the crypto world is responding swiftly to some out-of-this-world events. After a US government hearing implicated the likelihood of extraterrestrial activity, crypto enthusiasts eagerly seized the opportunity to create over 50 alien-themed coins.
David Grusch, a former Pentagon task force member on Unidentified Aerial Phenomena and whistleblower, triggered this flurry of activity when he accused the U.S. government of obfuscating alien encounters during a House Oversight Subcommittee on National Security. This testimony inspired a deluge of extra-terrestrial themed coins, gaining traction on various exchange platforms under monikers like ‘ALIENX,’ ‘UFO,’ and ‘ALIEN.’
Ryan Graves, the executive director of Americans for Safe Aerospace, and retired Navy Commander David Fravor were also part of the hearing. Interestingly, Fravor is known for capturing now infamous footage of a ‘tic tac’ Unidentified Aerial Phenomenon off the West Coast of the U.S. in 2004. Post-hearing, these crypto operators were quick off the mark to generate an influx of new extra-terrestrial-themed coins.
Analytical data from DexTools — a tool permitting traders to view a multitude of unverified, low market cap tokens — showed that more than 50 alien, UFO, and otherwise extra-terrestrial-themed tokens emerged within a 24-hour window following the publicity of the hearing. However, many of these memecoins adopt a ‘honeypot’ guise, leveraging trending topics to reel in investors – investors who later discover that they’re unable to offload their holdings.
Although this trend might warrant a chuckle or an eyeroll, some investors have seen modest gains. UFO Gaming Token (UFO) and AlienFi token (ALIEN) have seen gains of 2.4% and 5.9% respectively, as per CoinGecko data. These percentages might seem minuscule, but when considered in absolute terms, they can amount to sizeable profits.
Throughout this intergalactic escapade, the crypto community adeptly demonstrates its nimble reaction to pop culture trends. However, investors must remain informed and exercise discernment – the atmospherics of a trend can often disguise the shoddy underlying fundamentals of some of these trending coins. While these outside-the-box initiatives can provide laudable innovation and financial gain, they also carry potential pitfalls for the unwary investor.
Source: Cointelegraph
